SILVER SPRING, Md. (AP) — New home construction in the U.S. jumped 11.8% in November with strong demand boosting builder confidence.

The double-digit percentage increase last month left home construction at a seasonally adjusted annual rate of 1.68 million units, an 8.3% increase from the rate at this time last year, the Commerce Department reported Thursday. October’s home construction number was revised downward slightly to 1.5 million units from 1.52 million units.

Applications for building permits, a barometer of future activity, rose 3.6% in November to 1.71 million units and is 0.9% above the rate in November of 2020.

Construction activity by region saw the biggest jump in the Northeast which rose 27.5%, followed by the South’s 18.4% gain. Building in the West rose 5.1%, while activity in the Midwest declined 7.3%.